Starting an online business with minimal investment

Many Americans dream of starting their own business, but some give up even before they get started because they expect financial obstacles.

Some people may be put off by the fact that the expenses associated with running a small business can add up quickly, but the good news is that you can start a business on a shoestring budget.

Sure, there will be some overhead costs, but with the right idea and planning, you can start an e-commerce business without running up a business credit card. Here’s how.

Choose a product that stands out

Estimated cost: Free

Most experts recommend taking the time to find a niche product (both digital and physical) that you can sell online. In other words, don’t do the same thing everyone else is doing and expect it to produce big sales.

For example, while dropshipping is a popular form of e-commerce these days, starting this type of business without a new product will likely make it difficult for your business to stand out.

Building a brand around your product or service is one way to set your business apart from the crowd. For example, if you sell an online career course, you can focus your brand on your personal story of making a significant career change.

Come up with a plan

Estimated cost: $15 per month

As any small business owner will probably tell you, an idea is just the beginning. You also need a plan to make your business a success.

Sure, you can’t plan for every obstacle you’ll face or anticipate every win, but research shows you’ll be much more successful if you have a game plan.

The National Federation of Independent Business says creating a business plan is one of the most important things you can do to build a successful business. A business plan should include an executive summary, market research, competitive analysis, and financial projections.

Software like LivePlan and PlanGuru can help you create a business plan and even plan financial projections. Some of these products start at $15 per month.

Choose your platform

Estimated cost: $29 per month

There are countless websites you can build your e-commerce on, with different customer bases built into them. For example, if you make and sell jewelry, you can choose Etsy, where buyers come looking for handmade gifts.

Or, if you want to build your own audience and keep most of the profits, you can build your site through a dedicated e-commerce platform like Shopify. Shopify is one of the most well-known options, and it starts at $29 per month.

You can also build your own website. However, hiring a web designer and developer to create it will cost more money on top of the hosting costs.

Sell ​​your product

Estimated cost: $15 per month

Marketing your product or services is the next key step in launching a successful business. It’s not enough to come up with a great idea, build an e-commerce site, and expect everyone to find you.

There is no one-size-fits-all marketing strategy for every business, but your business plan will help in this case. Consider how similar brands communicate with potential customers and how you can present your product or service to potential buyers.

Once you answer these questions, choose the right social media management software to help you create and schedule posts. For example, for just $5 a month, you can use Buffer to schedule social media posts and track engagement. The platform is easy to use and even has a free plan with limited features.

There is no guarantee that starting an e-commerce business will be easy, but it is possible on a tight budget. Be sure to have a business plan in place to help you stay the course and do your homework beforehand to find the right marketing strategy.

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